Corazon Mining Ltd (ASX:CZN) (OTCMKTS:CRZNF) has received firm commitments for a placement to raise approximately A$2 million from sophisticated, professional and institutional investors.
The placement involves the issue of up to 40,385,738 fully paid ordinary shares at A$0.05 per share.
Capital raised will be used to advance Corazon’s drilling of priority targets at the Lynn Lake Nickel-Copper-Cobalt Sulphide Project in Canada.
They will also assist in preparation for maiden drilling of a large copper-cobalt-silver-gold geochemical anomaly at the Mt Gilmore Project in New South Wales.
“Pleased with level of support”
Corazon’s chairman Terry Streeter said: “Corazon has two very exciting projects that have the capacity to host large deposits.
“The targets on these projects are compelling and have the potential, via drilling, to deliver significant value for our shareholders.
“We are pleased with the level of market support for this placement, which will provide us with the opportunity to expand the current phase of drilling at Lynn Lake, and commit to the first drill testing of the recently identified copper porphyry target at Mt Gilmore.”
“The company thanks all shareholders who participated in the placement for their support.”
Placement details
Placement shares are anticipated to be issued on Tuesday, March 2, 2021, under the company’s existing placement capacity under ASX Listing Rule 7.1 and ASX Listing Rule 7.1A.
PAC Partners acted as lead manager to the placement which received strong investor demand.
Lynn Lake project in Canada
The company is drilling at the Lynn Lake Project testing newly identified high-priority geophysical conductor targets immediately west of the Fraser Lake Complex (FLC), where previous drilling by Corazon identified extensive low-grade disseminated nickel-copper-cobalt sulphide mineralisation.
Six priority drill targets have been identified within a large area of conductance to the west of the main FLC intrusion.
This phase of drilling will initially target the three highest priority targets and will comprise around 1,600 metres of core drilling, with subsequent drilling dependent on the results.
Mt Gilmore project
At the Mt Gilmore Project, Corazon is planning a maiden drill program to test a large, regional-scale copper-cobalt-silver-gold surface geochemical anomaly.
This priority target is on a coincident geochemical/geophysical anomaly, adjacent to a recently identified mineralised (copper) porphyry.
All permits for this drilling have been received and drilling will commence as soon as a drill rig becomes available.